In October I called Nextel customer service to inquire about when my service contract was to expire. I was informed that it had just expired the previous month and was asked why I was asking. I said I was planning to change to another company with a better plan. The service rep then asked me to review the plan offerings that Nextel had in an attempt to retain my account. She got me to agree on another plan that would save me money so instead of terminating service I switched plans.
Sometime during the conversation, I agreed to a 1 yr contract extension. 4 months later, I realized that the new plan was saving me nothing and I ported my number to another carrier. So, now I get a bill from Nextel for a $200 early termination fee. My complaint is that a termination fee is fair if it covers Nextel in the event they provide equipment at a low cost or for free and then a subscriber drops their service. I can understand that kind of fee. But in this case, all they did was change a rate plan AFTER the original contract was expired. No equipment exposure on their part. The termination fee was PURE profit.
I called them and explained my reasoning and even offered to pay a reduced pro-rated fee (I went 4 months into a 12 month contract before canceling it) they refused to negotiate and said I will pay because the verbal (and recorded) contract was iron-clad and binding and they would resort to a collection agency if I did not pay. I will pay, as I value my credit rating but I am also posting this message to ANYONE who agrees to a contract, not only with Nextel but any other cell-phone company. BEWARE the service contract early termination fee, it's their cash cow and they milk it whenever they get the opportunity. It's unfair, and if there are any contract lawyers out there who care to challenge it in a class action lawsuit, please contact me, I would gladly be a party to that lawsuit.
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